He said there might be a "glimmer of hope" for the industry as other textile businesses in the region had seen a recent upturn in business.

BBC: Innerleithen's Caerlee Mills site faces closure fears

While that portends an upturn in business heading into mid-2007, any significant slowdown in the economy would likely curb corporate technology spending, hurting Comverse's sales and profits.

FORBES: Comverse Parts Seem Worth More Than Whole

Confidence among both businessmen and consumers rose for the third month in a row in January, according to the Commission's latest regular survey, with the upturn in business sentiment stronger than had been expected by many economists.

BBC: Spain's recession worsens in the fourth quarter

Most Wall Street analysts think industry labor costs will rise substantially over the next couple of years, as pilots and other employees look to the upturn in business as a catalyst for grabbing back a chunk of what they gave up during the industry's rough period.

FORBES: Magazine Article

Property consultants and logistics property developers said there had been an upturn in investment interest in logistics and business parks in recent months as a way to tap into the growth of e-commerce and rising domestic consumption.

WSJ: Investors Target Logistics Property in China

Overall business investment tells a similar story (albeit with a slightly greater upturn in the last 18 months).

BBC: Triple-dip recession: Does it matter?

In Europe, too, surveys of consumer and business confidence confirm that an upturn is under way.

ECONOMIST: International house prices